Northside, Southside Entrepreneurs Present Loan Ideas At UAFS

Friday

Nov 22, 2013 at 3:11 AM

Nearly 40 teams of budding high school entrepreneurs filled a University of Arkansas at Fort Smith conference center Thursday to propose business ideas and vie for the chance at up to $500 in business loans.

Nearly 40 teams of budding high school entrepreneurs filled a University of Arkansas at Fort Smith conference center Thursday to propose business ideas and vie for the chance at up to $500 in business loans.

The proposals represent the culmination of a full semester’s work at understanding the inner-workings of small-business ownership and financial responsibility.

"This kind of thing is important because it gives them real-world experience," said Melinda Briscoe, entrepreneurship class teacher at Northside. "This is an experience that many adults don’t get to have. It’s a safe way for them to get to do this without putting any money forward."

Students who participate in the program spend the first semester of their enterprise classes formulating an idea, creating a business plan, conducting market research on the viability of their product, and analyzing the financial risks involved in the creation and sales of their product or service.

"The financials seem to be the hardest. They have to plan and project their financial information and that seems to be hard because it’s abstract," explained Briscoe.

"Everybody thinks they can start a business … but you really have to do your homework, figure out what your product is and who your customers are going to be," said Dave Robertson, director of Family Enterprise Center at UAFS.

"This process requires that they submit a business plan for review and then they have to present that plan to a loan committee so they have to justify it," added Robertson.

Skip Kyton, a 17 year-old Southside senior, explained his team’s idea to create customized Johnny Rebel air fresheners. "It’s a great opportunity to learn about business and how to get a loan," said Skip. "My dad is a business owner, so I’ve always wanted to. … He’s an entrepreneur too, so I like the idea of how you can just go out there and be whatever you want to be."

Skip and his group members asked for $300, hoping to buy 300 air fresheners which they would sell for $3, earning a $2 profit on each air-freshener.

Maria Roman and Rosa Perez, 15 year-old Northside students, teamed up to create a gift basket business, asking for $250 to buy inventory for their creations.

"I have a daughter," explained Maria, "So I want to be a businesswoman and have enough money to provide for her and for her to have a good life."

Almost all of the students expressed aspirations to continue their entrepreneurship after high school, looking forward to owning businesses as adults.

"Pretty much if they ask for it they will get it," said Robertson, who guessed that UAFS would give out close to $3,000 in loans this year. "We may adjust it up or down. And historically we get between 80 and 90 percent back."

"What’s really been rewarding is a lot of students will take the profits and donate them to a charity of their choice, which has been neat. It’s their call, but I would say the majority choose to take their profits and give them to someone else. It’s been very rewarding," said Robertson.